Mechanism of digital business model innovation for common prosperity: based on resource orchestration perspective

Abstract

Purpose By exploring the microimplementation mechanism of common prosperity, this paper aims to offer a strategic direction for Chinese enterprises to achieve sustainable development. It also provides theoretical support and practical guidance for the Chinese Government in exploring feasible paths to common prosperity, starting from the enterprises. Design/methodology/approach This paper takes the digital business model innovation of Rainbow Planet as a case study, systematically explicating the mechanism through which digital business model innovation fosters common prosperity by constructing a research framework of “digital business model innovation-resource orchestration-common prosperity.” Findings First, from a microperspective, the role of enterprises in promoting common prosperity in China is confirmed. Second, based on the theory of resource orchestration, it is concluded that digital resources can generate three types of digital effects, such as association, interaction and feedback, through effective resource orchestration under the support of the value elements of the business model. Finally, this paper emphasizes that enterprises should take actions such as demand aggregation, trust building and relationship reshaping to connect with relevant stakeholders, so as to achieve the win-win purpose of improving enterprise competitiveness and deepening common prosperity. Originality/value For Chinese enterprises, linking their development with the overall welfare of society is an essential path to sustainable development. Enterprises can promote the integration of their development with social welfare in three aspects: enhancing the efficiency and innovation capability of digital operations, strengthening cooperation with stakeholders and advancing sustainable business models. For the Chinese Government, it is important to encourage enterprises to play a positive role in the fields of economy, environment and society. The government can promote excellent practices in digital innovation, social responsibility and environmental protection among enterprises by publicizing successful cases, inspiring more enterprises to follow suit.